On the agenda

1. 1Call to Order – Roll Call▶ 0:00
2. 2

   Pledge of Allegiance

   The Pledge of Allegiance was led, followed by a moment of silence in honor of servicemen and women at home and abroad.

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   [00:00:15] Thank you. If you could all stand and join me in the Pledge of Allegiance and remain standing for a moment of silence in honor of our servicemen and women at home and abroad.

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3. 3

   Moment of Silence

   Pledge of Allegiance and moment of silence observed.

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   [00:00:23] I pledge allegiance to the flag of the United States of America and to the republic for which it stands, one nation, under God, indivisible, with liberty and justice for all. [00:00:41] Thank you. You may be seated.

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4. 4.a

   ↳You arrived here from a search for “Resolution 2016-29” — transcript expanded below

   2nd Public Hearing - Proposed Millage Rate & FY2016-2017 Operating Budget & Capital Improvement Program

   approved

   Council held the second and final public hearing on the proposed millage rate and FY2016-17 operating budget and capital improvement program. Council adopted Resolution 2016-30 setting the millage rate at 9.15 mills (down from 9.25, and 0.33% less than the rollback rate of 9.18) and adopted Resolution 2016-29 approving the operating budget and CIP, both over dissenting votes from Councilman Davis (and Phillips on the budget). Members and citizens criticized the late availability of budget materials and discussed creating an emergency/storm reserve fund.

   • motion:Adopt Resolution 2016-30 setting the final millage rate at 9.15 mills for FY2016-17. (passed)
   • motion:Adopt Resolution 2016-29 approving the final operating budget and capital improvement program for FY2016-17. (passed)
   • direction:Councilman Phillips will provide the City Manager (Ms. Manz) with specific line items to revisit within 30 days for possible creation of an emergency reserve fund. (none)

   📍6712 River Road📍6910 Grand Boulevard🏢Pasco County Property Appraiser's Office👤Crystal Feast👤Davis👤John Gallagher👤Mike Nuremberg👤Ms. Manz👤Phillips👤Starkey#Capital Improvement Program#Emergency/storm reserve fund#FY2016-2017 Operating Budget#Florida Statute 200.065#Resolution 2016-29#Resolution 2016-30#Rollback rate 9.18 mills#TRIM Notice

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   [00:00:46] The next item on the agenda is the public hearing on the proposed military and budget. Ms. Manz. [00:00:52] Mr. Mayor, members of the City Council, the request before you this evening is to open the second and final public hearing on the proposed millage rate, the operating budget, and the capital improvement program for 2016-2017. [00:01:10] The objectives of the budget are to preserve the current level of service with little or no growth in revenue while making progress towards implementing the city's long-range plans. [00:01:24] In that respect, I would like to read into the record the following. Florida statute section 200.065 part 2 section C1 prescribes that the council adopt the millage rate prior to adopting the 2016-17 budget. [00:01:46] A notification regarding the public hearing has been provided to every property owner in the city by the Pasco County Property Appraiser's Office. This notification in the form of the Truth in Millage Trim Notice was mailed the week of August 18, 2016. [00:02:05] Action requested is to adopt Resolution 2016-30. The name of the taxing authority is the City of New Port Richey. The tentative millage rate of 9.15 mills is less .33% than the rollback rate of 9.18 mills. [00:02:26] The total ad valorem revenues that will be generated are estimated to be $4,430,060. That is approximately $145,895 more than what was generated in ad valorem in fiscal year 2015-2016 due to the increase of property values. [00:02:56] The millage rate is 9.15 and is a decrease from the prior year millage of 9.25, although the statute requires discussion regarding the percent increase over the rollback rate and the specific purposes for which ad valorem is being increased. For the record, in our case, neither apply. [00:03:18] At this time, the City's Finance Director, Crystal Feast, has a few comments regarding the proposed fiscal year 2016-17 operating budget. At the close of the presentation, it is requested that the Mayor invite public comment. [00:03:35] Thank you. Ms. Feast? [00:03:37] Good evening. I just wanted to recognize that the significant adjustments from first public hearing, those have been already provided to you so that you can easily identify what has changed from the first public hearing. And there have been no changes to the capital improvement plan since it was last presented to you. [00:04:04] I also would like to just let you know what can be expected as part of the next budget process. The City Manager and I plan on revamping the presentation of the budget document to include a presentation of fund balance so that you can see what the balance is at the end of each fiscal year and what would be the full carryover to the next budgeted year. [00:04:31] So it would be transparent to everyone and easy to identify within the budget document. So we do plan on doing that. And then also, we do plan to establish a reserve fund specifically for hurricane or storm, you know, emergency storm fund for next budget period as well. So you can expect that to be established. [00:04:59] Thank you. This is a public hearing. Anybody that wishes to address council on either the military or the proposed budget, please come forward and give your name and address for the record. [00:05:08] John Gallagher, 6712 River Road. [00:05:17] The only comment that I really have, it's a pretty big budget to try and analyze. [00:05:24] Two days before your first public hearing, the budget was available to the public. [00:05:29] I think that is bad policy because during that period, we've been probably spending a lot of time with your finance director and she's got better things to do than answer my emails. [00:05:48] So I would hope that next year, when you set the millage rate, which is around July 15th, which is required by law for counties and school boards, I'm not sure about cities, that that proposed budget that you got two days before your public hearing is available when you set the millage rate. [00:06:08] Because other than that, the general public has no idea what you're spending your money on. [00:06:17] You look like the county commission just looking at me. [00:06:22] Do you think that's the right thing to do? Is there something I'm missing where you don't get to see the budget until two days? I know you folks probably see it. [00:06:32] Mr. Mayor, if you'll allow me to respond, the suggestion that Mr. Gallagher is advancing is a good one. [00:06:40] I think that based on the work that Mrs. Feast is doing in the finance department, we'll be much better prepared to do that next year. [00:06:48] And I'll make sure that it's done so. [00:06:50] Thank you very much. [00:06:54] Councilman Phillips, at the last meeting, you talked a lot about portions of the budget. Did anything you talked about get changed in the budget? [00:07:01] A few things got changed, Mr. Gallagher. Not substantially, though. And I will be speaking to that. [00:07:09] Thank you. [00:07:10] Thank you. [00:07:12] Anyone else? [00:07:21] Mike Nuremberg, 6910 Grand Boulevard. I have a few questions for Mrs. Feast. [00:07:27] So I saw what you provided to Mr. Gallagher about the changes in the budget from the last time. Are those all the changes or just some of the changes? [00:07:37] Those are the significant ones. Some other changes were very minor and were just movement from just small amounts that weren't significant enough to include in the list. [00:07:49] Okay. When I looked at that list, the revenues went up by one number, and the expenditures went up by another number, which was larger. [00:07:59] So it was about a difference of $100,000. I'll use round numbers. Revenues went up about $100,000. Expenditures went up $200,000. [00:08:14] I would have to... [00:08:16] Actually, Mr. Nuremberg, the revenues went up $124,000, and the expenses went up, when you minus out one factor, $228,000. [00:08:30] So there was a net, from my math, $104,720 was the difference between the two, just so I could give you some clarity from what I have. [00:08:41] Right. I saw the spreadsheet. It was provided to Mr. Gallagher, and he forwarded it to you. [00:08:46] Yes, sir. [00:08:47] So, I want to be rude, but if the budget was in balance before, and you've increased the revenues $100,000, and you've increased expenditures $200,000, is the budget in balance now? [00:09:04] I'd say yes, it is. I haven't evaluated the list or the changes to answer your specific question, but I can and will. But the budget is in balance. [00:09:16] The other item having to do with Interfund transfers, has that been changed for the final budget? [00:09:21] No. [00:09:24] Okay. I know Mrs. Feist walked into a situation that she's trying to correct a lot of the things that have gone on in the past, but I agree with Mr. Gallagher. [00:09:43] You either need to start the process earlier, or you need to have the information in front of you earlier to make sure that any cash carry forward or fund balance that needs to be recognized is recognized, and reserves that are required by your ordinances are also budgeted on the other side. [00:10:06] Again, it's a bad situation. You don't have your audit done. I understand the auditors are going to be here next week? [00:10:16] They're here this week as well. [00:10:18] Aren't they making a presentation next Tuesday? [00:10:21] Yeah, they're on the agenda, yes, sir. [00:10:25] So, will there be a copy of the audit next Tuesday? [00:10:31] I can't answer that now. We're hoping that there will be. [00:10:35] So, that's the sum total of my comments. Thank you. [00:10:41] Thank you, Mr. Murok. Anybody else wish to address Council? [00:10:44] Seeing no one come forward, I'm going to close public comment and bring it back to Council. Any questions by the Council members? Mr. Phillips? [00:10:52] Yeah, I guess you automatically turn this way, because I'm usually the first one on the docket, which is my role. [00:11:02] And I take pride in it, because at the end of the day, when we look at this budget, across the board with capital and everything else, it's about $60 million. [00:11:13] And really, that's not anything to sneeze at, laugh at, whatever. [00:11:18] But when you put all the component parts together, it does make it kind of a daunting task, [00:11:25] and obviously because of interdepartmental transfers, CRA transfers, water and sewer funding transfers. [00:11:38] But let me get right specifically to my points. [00:11:42] Number one, I looked at the yellow book, and I've got the burgundy book. [00:11:51] You still have some dollar amounts, even off of your adjustment page, that aren't correct in the budget. [00:12:00] And they basically come from the fire pension, which was going from $202,900 to $230,000. [00:12:10] In this budget, it's still reflected at $202,000. [00:12:14] Also, on the park and recs for the equipment, that number doesn't correlate only by about $1,000 or so. [00:12:25] And I kind of feel like I've gone to the principal's office two or three times during this budget process. [00:12:36] And the word disappointing just keeps jumping up to the top of my head. [00:12:43] And we were lucky this year. [00:12:47] And what I mean by lucky is the legislature got out really early because they're all trying to run for re-election. [00:12:56] So we had a lot of firm information in place. [00:13:00] So the movements that we've had and the changes and some of the last-minute things I spoke about at the last meeting do make it embarrassing, [00:13:13] in some ways, to have to always be studying the book and then show up and have some changes. [00:13:21] And especially at the last meeting, where if I didn't express myself well enough, I'd spent quite a bit of time putting my own little book together. [00:13:30] And when I got here, there were changes. [00:13:33] The other thing is this kicking the ball down the thing about rollover money. [00:13:41] And I thought that what was brought to us not only a month ago but recently had great merit about taking whatever rollover, [00:13:54] whatever dollars we had, and creating an emergency response fund and having that on your undesignated reserve side. [00:14:06] I understand if we meet our obligations by budget. [00:14:11] But I went through the exercise when I saw this recent budget that it didn't have any undesignated reserves or rollovers. [00:14:25] And in past budgets, we at least had a ballpark of what that might be. [00:14:31] So I went through the exercise, which doesn't do me any good, except it helps me feel better about if I had to create a fund tonight, I could do it. [00:14:43] And I could recommend that to my colleagues. [00:14:46] But again, I'm doing it from up here. [00:14:49] I'm doing it from up here on the dais, where I would take dollars out of certain cost items that you have in this budget, [00:14:57] and I would automatically put them to the side. [00:15:00] into an emergency response fund. And then, just like in any other budget year, if you've [00:15:06] got obligations or you've got to do budget corrections, you can do that. But, you know, [00:15:13] I just went through a small portion, and I came up with a couple hundred thousand dollars. [00:15:20] And I don't know what our response numbers have been when we've had emergencies, because [00:15:25] we have to pay for them right then, and then we've got to figure out a way to reimburse [00:15:29] or wait for FEMA and all that. But I went through a number of the items, and just arbitrarily, [00:15:35] I came up with a couple hundred thousand dollars that, if I took them out of the line items [00:15:40] tonight, I could designate those to be put into the undesignated fund. And then staff, [00:15:49] manager, whoever, would have to come back at different points of the year and ask us [00:15:54] if they could have access, or if we have, thank God, if we don't have anything between [00:16:02] now and the end of the year, we don't have anything first part and next. So I don't want [00:16:07] to bog my colleagues down, but I went through the exercise because I felt like the comments [00:16:14] and the suggestions that were brought to us had great merit, and I thought we ought to [00:16:18] at least not say, well, I'll do it next year, and let me wait until I get this, let me wait [00:16:24] until I get that. I'm just at a point where my frustration level has gotten a little higher, [00:16:30] and I knew it would, because budgets always get you to the very end. It's always the last [00:16:35] little bit. And I've been through my fair share, and I've been on your side, where they [00:16:40] found where I had money and took it away from me, and from those aspects. So, Mr. Mayor, [00:16:47] I just have to say that, though there's a lot of things in here, the timing of things [00:16:59] this year was less than desirable. Thank you, sir. [00:17:02] Absolutely. Mr. Starkey. [00:17:04] Well, number one, we're not county commissioners. We're city council members here in New Port Richey. Crystal, you did walk into a bit of a mess. I don't think our last finance [00:17:13] director was a qualified finance director. You learned from, we learned from our mistakes. [00:17:18] The comments that were made this evening are valid comments. I'm sure you agree with them. [00:17:22] Our public does, and our citizens does, should have the right to be able to review these [00:17:26] documents in sufficient time, and I'm sure it may, we can start the budget process earlier [00:17:31] next year, but I'm sure we'll make those corrections over the next 12 months so we don't run into [00:17:35] the same problems again. [00:17:36] Yes, sir, Mr. Councilman. [00:17:39] Yes, thank you. I also applaud you for what you were able to accomplish, Ms. Feist, and [00:17:47] to make the budget portion with the numbers understandable, easy to understand, and any [00:17:54] questions that ever came to you, you answered them well. I'm actually stymied that we are [00:18:01] so close to the beginning of our fiscal year, and we're looking at this, and it seems like [00:18:06] every year we start early, so I'm not quite sure what the whole, you know, what exactly [00:18:10] happens, but you know, it is what it is. But we appreciate what you've done and certainly [00:18:18] look forward to next year when we're able to, you know, and whether the issue is to [00:18:23] start earlier or to, gosh, I didn't want to necessarily suggest that we have more meetings, [00:18:29] but you know, whatever will work. I know that you'll get the cooperation of us. [00:18:35] Thank you. [00:18:36] It's a prerequisite for getting the information out to the public in late June or early July [00:18:42] is that we get the information out to the City Council on a timely basis, and I'm really [00:18:48] uncomfortable with how late this is run this year. We've got to get this a lot earlier [00:18:54] in the season. We should not be sitting here having to look at significant adjustments [00:19:00] 48 hours before the start of the fiscal year. That's just not an acceptable situation to [00:19:05] have. [00:19:06] Okay. Councilman Davis? [00:19:09] Just what I've heard since I sat down here, I'm 110 percent behind that. I think a budget's [00:19:15] a year-round project. I don't think it's a two- or three-month project. I work for the [00:19:21] citizens. I don't think they got a fair shake this year on the ad valorem tax. I was looking [00:19:26] for something in the eights, and you know, the taxes, their increase in their ad valorem [00:19:38] tax on their houses is the only reduction that we're taking that we haven't tightened [00:19:43] our belt one bit, and we've got all these projects in here. We don't even have an audit [00:19:54] from last year, and the year before, we had five Ds and five Fs, and we had the same finance [00:19:59] director that's coming in this next audit, and so I think we're going into this kind [00:20:04] of blind, and that's why I asked for an addendum, so we had no new funds spent until we get [00:20:10] at least 30 days after the audit, so we can look at the audit, see what that says to match [00:20:17] it with this budget, pay our bills, continue on, but nothing new for 30 days. [00:20:23] Thank you. Could we get a reading of the millage ordinance, please? [00:20:29] Yes. Resolution number 2016-30, a resolution of the City of New Port Richey of Pasco County, [00:20:35] Florida, adopting the final levying of ad valorem taxes for all non-exempt real and [00:20:42] personal property in New Port Richey, Pasco County, Florida, for fiscal year 10-1, 2016 [00:20:48] to 9-30, 2017, providing for an effective date. [00:20:52] Thank you. Would you entertain a motion? [00:20:56] Move for approval. Second. [00:20:58] We have a motion and a second. [00:21:00] No, not on the millage. [00:21:02] Thank you. To the second. [00:21:04] No, thank you. [00:21:05] Mr. Davis? [00:21:07] Nothing. [00:21:08] Mr. Turkey? [00:21:09] Nothing further this time on the millage. [00:21:11] There's no further discussion on the millage rate. All those in favor, please signify by saying aye. [00:21:15] Aye. [00:21:16] Opposed, like sign. [00:21:17] Yes. [00:21:19] Next, could you read us the ordinance on the budget, please? [00:21:23] Resolution number 2016-29, a resolution of the City of New Port Richey of Pasco County, Florida, [00:21:29] adopting the final operating budget for fiscal year 2016-2017 and the capital improvement program [00:21:36] for fiscal year 2016-2017 and providing for an effective date. [00:21:42] Thank you. [00:21:43] Move for approval. [00:21:44] We have a motion. [00:21:45] Second. [00:21:46] To the maker. [00:21:47] I will be providing to Ms. Manns the specific line items that I found in the budget that at some point [00:22:02] in the next 30 days I would like for us to address up or down to either look at the creation of an emergency fund [00:22:13] or that these dollars be held until we have further information which meets a little bit of what Mr. Chopper, [00:22:26] Mr. Davis was asking about, not to the degree that he had asked for, but there are, as I said, [00:22:35] some items in here that we need to look at. [00:22:39] I'm sure in a year after we get this approved that we'll find some other line items to address, [00:22:46] but I'll provide you with those in mind and give you the total. [00:22:50] Thank you. [00:22:51] To the second. [00:22:52] Nothing, thank you. [00:22:53] Mr. Starkey. [00:22:54] Nothing further, thank you. [00:22:55] Mr. Davis. [00:22:56] Nothing. [00:22:57] Likewise here. [00:22:58] If there's no further discussion, all those in favor, please signify by saying aye. [00:23:01] Aye. [00:23:02] Opposed, the like sign. [00:23:03] Aye. [00:23:04] Motion passes. [00:23:06] We had communications last night. [00:23:08] Any further communications in the reports for tonight? [00:23:11] Anyone? [00:23:12] In that case, I would entertain a motion to adjourn. [00:23:15] Moved to adjourn. [00:23:16] Thank you.

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5. 5Communications
6. 6Adjournment